An employee wants to make additional pension contributions of a fixed amount on top of his statutory employee pension contributions. How do I set this up on Sage Payroll?
Hi Lowri,
This depends on whether the pension is a salary sacrifice scheme or not.
In both instances you can amend contributions by gong to the Pension's tab on their records and clicking on Manage Schemes and choosing to edit the applicable pension scheme.
Assuming the scheme isn't a Sal Sac scheme then you can simply enter the fixed amount the employee wishes to contribute into the AVC boxes.
If the scheme is a Sal Sac any additional contributions added to the AVC box will not be taken as part of the sacrifice - it will just be a normal deduction. To have this additional contribution as a sacrificed value too you will need to work out the % that the fixed amount is of the employee's usual salary, and then adjust the employees % contribution to include both the statutory % and the additional contribution %.
Hope this makes sense.
Kind regards,
Tim
Thanks for your answer. Just to confirm, this will only add the extra contribution to one employee, not every employee on the same pension scheme?
Yes - provided you make all adjustments on the Employee's record and not in the Company Pensions area
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